PierPass October 2015 News and Updates

Despite being in the peak season, cargo has continued to flow smoothly with no increase in congestion at the Ports of Los Angeles and Long Beach. Average in-terminal turn times for truck transactions fell in September compared to August, from 49.2 minutes to 47.0 minutes on day shifts and from 51.4 minutes to 51.2 minutes on night shifts.

The OffPeak shifts operated under the PierPass program handled more than 331,000 truck trips or 47% of the total. By moving roughly half of all truck transactions outside of peak daytime hours, PierPass continues to meet its objective of reducing congestion in and around the ports.

PierPass Monthly Transaction Data
Each month we provide a summary of the latest transaction data from marine terminal operators (MTOs) at the Port of Los Angeles and Port of Long Beach. Below please find data from the month of September 2015.

Average in-terminal turn time:
47.0 minutes day shift
51.2 minutes night shift

For comparison, the average in-terminal turn time in August 2015 was 49.2 minutes for the day shift and 51.4 minutes for the night shift.

In-terminal turn time is the average amount of time a truck is inside a terminal to complete a transaction. Truck activity information is derived from RFID data, and excludes lunch hour, breaks and trouble tickets. Turn time at individual terminals will vary depending on time of day and other factors. For more information about turn times and how we measure them, please see our Q&A at http://goo.gl/PiOjBp.

Average daily moves per truck for frequent callers* in September:
5 or moves per day: 8%
4 moves per day: 14%
3 moves per day: 29%
2 moves per day: 32%
1 move per day: 17%

*The ports define frequent callers as trucks making one or more moves per weekday. Average moves per day by frequent callers tells us how many moves a truck can make if it is working every day. In September, 22% of frequent callers made four or more moves per day.

Gate moves during Peak and OffPeak/exempt shifts in September:
Total Peak gate moves: 370,736 (53%)
Total OffPeak/Exempt gate moves: 331,248 (47%)

The number of unique trucks calling on the ports in September was 12,865.

A gate move occurs when a container enters or leaves a marine terminal via the truck gates. Peak shifts are Monday through Friday, 8:00 a.m. to 5:00 p.m. OffPeak shifts are Monday through Friday, 6:00 p.m. to 3:00 a.m., and Saturday 8:00 a.m. to 5:00 p.m. Saturday night and Sunday shifts, which are not regularly scheduled, are considered “exempt.”

Note:
Terminals were closed for the on Monday September 7 for the Labor Day holiday.

To learn what it takes for a truck to drop off or pick up a container at a marine terminal, please see http://youtu.be/P9IJN1yIIJ4.

One Year After Congestion Crisis, Peak Season Cargo Moves Smoothly

PierPass September News and Updates

One year ago, the Ports of Los Angeles and Long Beach were entering a period of severe congestion. As we reach the height of this year’s peak season, cargo is flowing much more smoothly through the 13 member container terminals of PierPass.

There is no line of ships stacked up in the harbor waiting to dock. Container dwell time (the time an import container waits to be picked up) is down to about three days from five to six last fall. In-terminal truck turn times for single transactions, while up slightly in August, remain well below the peak of 61 minutes in November 2014.

Terminal yards have enough open yard space to operate normally; one large terminal operator puts the “utilization” rate – the percentage of yard space occupied by container stacks – at a normal 70%, down from more than 95% last winter.

The worst of the congestion was over by late February, when cargo throughput snapped back sharply after the labor deal was reached on February 20. While conditions often tighten up during the peak season as retailers prepare for the holidays, 2015 has seen no seasonal increase in congestion.

This isn’t to say all issues have been resolved. While chassis availability has improved since the leasing companies formed a “pool of pools” in March, chassis shortages remain an ongoing concern. PierPass and its member container terminals, along with other stakeholders at the Ports of Los Angeles and Long Beach Supply Chain Optimization meeting recently identified chassis, and in particular lengthy street dwell times, as the issue that could bring the ports back into a state of congestion.

With larger ships arriving and cargo volumes once again approaching their 2006 peak, the goods movement industry needs to continue innovating new methods to move cargo more quickly. The terminals, among other steps, are increasingly moving toward appointment systems to spread out truck arrivals, and continue working with stakeholders to increase the use of the “free flow” process to rapidly deliver stacks of containers to a single owner or trucking company.

PierPass Monthly Transaction Data
Each month we provide a summary of the latest transaction data from marine terminal operators (MTOs) at the Port of Los Angeles and Port of Long Beach. Below please find data from the month of August 2015.

Average in-terminal turn time:
49.2 minutes day shift
51.4 minutes night shift

For comparison, the average in-terminal turn time in July 2015 was 48.1 minutes for the day shift and 49.2 minutes for the night shift.

In-terminal turn time is the average amount of time a truck is inside a terminal to complete a transaction. Truck activity information is derived from RFID data, and excludes lunch hour, breaks and trouble tickets. Turn time at individual terminals will vary depending on time of day and other factors. For more information about turn times and how we measure them, please see our Q&A at http://goo.gl/PiOjBp.

Average daily moves per truck for frequent callers* in August:
5 or moves per day: 8%
4 moves per day: 14%
3 moves per day: 29%
2 moves per day: 32%
1 move per day: 17%

*The ports define frequent callers as trucks making one or more moves per weekday. Average moves per day by frequent callers tells us how many moves a truck can make if it is working every day. In August, 22% of frequent callers made four or more moves per day.

Gate moves during Peak and OffPeak/exempt shifts in August:
Total Peak gate moves: 381,694 (56%)
Total OffPeak/Exempt gate moves: 302,979 (44%)

The number of unique trucks calling on the ports in August was 12,395.

A gate move occurs when a container enters or leaves a marine terminal via the truck gates. Peak shifts are Monday through Friday, 8:00 a.m. to 5:00 p.m. OffPeak shifts are Monday through Friday, 6:00 p.m. to 3:00 a.m., and Saturday 8:00 a.m. to 5:00 p.m. Saturday night and Sunday shifts, which are not regularly scheduled, are considered “exempt.”

Note:
Terminals were closed for the OffPeak shift on August 6 for an ILWU Stop Work meeting.

To learn what it takes for a truck to drop off or pick up a container at a marine terminal, please see http://youtu.be/P9IJN1yIIJ4.

 

PierPass Terminals Embrace Appointment Systems at Ports of Los Angeles and Long Beach to Control Congestion

LONG BEACH, Calif., August 27, 2015 – In the latest in a series of measures to combat congestion, PierPass Inc. today announced that 10 of its member container terminals have agreed on a coordinated initiative to establish appointment systems for trucks delivering containers to and from the terminals at the Ports of Los Angeles and Long Beach.

The terminals have adopted an appointment system action plan and committed to a set of common requirements. The five terminals that currently operate appointment systems have agreed to adopt these requirements, and five more terminals plan to introduce appointment systems in 2016 that will follow the same guidelines.

All the terminals have agreed that their individual appointment systems will share these rules in common:

  1. Appointments will be mandatory at all participating terminals. At times, appointments have been treated as optional, which has reduced the intended benefit of smoothing out truck traffic flow.
  2. The appointment systems will apply to import containers at all terminals. Appointments for exports are being evaluated as a potential future requirement.
  3. All individual terminal appointment systems will be accessible via links from PierPass’ websites.

“The increasing number of containers unloaded by larger new ships has put the traditional random-access system – where any truck can arrive at any time to pick up any container – under strain,” said John Cushing, president of PierPass, a not-for-profit company created by marine terminal operators at the Ports of Los Angeles and Long Beach to address multi-terminal issues such as congestion, air quality and security. “Appointment systems are part of the growing set of tools terminals are embracing to fight congestion and reduce turn times, alongside innovations including free flow and the OffPeak program of night and Saturday truck gates.”

“Since we updated our appointment system in 2014, we have seen a marked decline in queuing at our gates and better turn times for our truckers,” said Mark Wheeler, vice president and general manager at West Basin Container Terminal (WBCT) in Los Angeles.

For truck drivers, trucking companies and cargo owners, the appointment systems will add predictability to the supply chain. The variable queue lengths at different times of the day will be flattened out, which is expected to reduce the longer truck turn times. Appointment systems also allow terminals to group appointments for specific stacks of containers, reducing the time spent waiting for container-moving yard equipment to move between stacks.

“Coordinating pick-ups and deliveries with the trucking companies will increase productivity for the truckers and for our terminal operations,” said Sean Lindsay, chief operating officer of International Transportation Service (ITS) terminal in Long Beach. “Therefore, we will be implementing an appointment system in 2016 to achieve this.”

The following terminals currently have appointment systems:

1. APM Terminals (APMT)
2. Eagle Marine Services (EMS / GGS)
3. West Basin Container Terminal (WBCT)
4. Seaside Transportation Services (STS / Evergreen)
5. Total Terminals International (TTI)

Terminals planning to implement appointment systems in 2016:
1. Trapac
2. Long Beach Container Terminal (LBCT)
3. SSA Terminals (Long Beach) (Pier A)
4. International Transportation Service (ITS)
5. Pacific Maritime Services (PCT)

PierPass August News and Updates

PierPass Monthly Transaction Data
Each month we provide a summary of the latest transaction data from marine terminal operators (MTOs) at the Port of Los Angeles and Port of Long Beach. Below please find data from the month of July 2015.

Average in-terminal turn time:
48.1 minutes day shift
49.2 minutes night shift

For comparison, the average in-terminal turn time in June 2015 was 49.5 minutes for the day shift and 48.6 minutes for the night shift.

In-terminal turn time is the average amount of time a truck is inside a terminal to complete a transaction. Truck activity information is derived from RFID data, and excludes lunch hour, breaks and trouble tickets. Turn time at individual terminals will vary depending on time of day and other factors. For more information about turn times and how we measure them, please see our Q&A at http://goo.gl/PiOjBp.

Average daily moves per truck for frequent callers* in July:
5 or moves per day: 7%
4 moves per day: 13%
3 moves per day: 29%
2 moves per day: 33%
1 move per day: 18%

*The ports define frequent callers as trucks making one or more moves per weekday. Average moves per day by frequent callers tells us how many moves a truck can make if it is working every day. In July, 20% of frequent callers made four or more moves per day.

Gate moves during Peak and OffPeak/exempt shifts in July:
Total Peak gate moves: 377,694 (56%)
Total OffPeak/Exempt gate moves: 298,879 (44%)

A gate move occurs when a container enters or leaves a marine terminal via the truck gates. Peak shifts are Monday through Friday, 8:00 a.m. to 5:00 p.m. OffPeak shifts are Monday through Friday, 6:00 p.m. to 3:00 a.m., and Saturday 8:00 a.m. to 5:00 p.m. Saturday night and Sunday shifts, which are not regularly scheduled, are considered “exempt.”

Note:
Terminals were closed in July for the Independence Day and Harry Bridges Birthday holidays.

To learn what it takes for a truck to drop off or pick up a container at a marine terminal, please see http://youtu.be/P9IJN1yIIJ4.

PierPass Names Kevin Recker as Chief Financial Officer

LONG BEACH, Calif., August 10, 2015 – PierPass Inc. today named Kevin Recker as its Chief Financial Officer. In the position, Recker is responsible for financial management and accounting for PierPass, including oversight of the OffPeak program, which manages the night and Saturday truck gates at the Port of Los Angeles and Port of Long Beach.

Recker comes to PierPass after serving as Director of Accounting at International Transportation Service Inc. (ITS), which operates marine container terminals at the Ports of Long Beach and Tacoma. He has also served in senior accounting and audit positions at the Los Angeles Junior Chamber of Commerce, Panasonic Disc Services Corp., and with public accounting firms. Recker earned his Bachelor of Science degree from California State University, Long Beach, in Business Administration and Accountancy, and is a Certified Public Accountant.

“Kevin’s career in both public and private accounting and his experience in the maritime industry bring the necessary skills to hit the track running as PierPass’s new CFO,” said PierPass President John Cushing.

Recker will replace Tom Stephenson, who is retiring after more than 10 years in the position.

“I would like to express my gratitude to Tom Stephenson, who was instrumental in getting the PierPass accounting and finance program off the ground and in guiding the program through a decade of efficient and effective operations,” Cushing said.

California Political and Environmental Leaders Laud PierPass OffPeak Program for Decade of Impact

Program Diverts 34 Million Truck Trips From Los Angeles / Long Beach Peak Traffic Since 2005

LONG BEACH, Calif., July 23, 2015 – PierPass Inc. today celebrated the 10-year anniversary of the OffPeak Program, which established regular night and Saturday work shifts at the Port of Los Angeles and Port of Long Beach, and pledged continuing efforts to minimize cargo-related congestion in and around the ports. Since July 23, 2005, OffPeak has taken 34 million truck trips out of daytime Southern California traffic and diverted them to less congested nights and weekends.

PierPass created OffPeak as a private sector solution to what was then a critical public problem: after a rapid rise in cargo volume in the early 2000s, drayage trucks were causing severe congestion on the roads and highways and in the neighborhoods around the ports, while thousands of idling trucks caught in this traffic every day added to air pollution. The ports came under strong community and political pressure to find a solution.

PierPass effectively doubles the capacity of the nation’s largest and busiest port complex without taxpayer money and without waiting for new infrastructure to be built. It enables the economic benefits of cargo transportation – which provides nearly 700,000 Southern California jobs and generates more than $10 billion in state and local taxes annually – while greatly mitigating the traffic and air quality impacts of the ports’ operations. OffPeak now regularly diverts about half of the roughly 150,000 weekly truck trips to nights and Saturdays.

“Heavy-duty trucks are the largest source of smog-forming nitrogen oxide emissions in our region,” explains South Coast Air Quality Management District Executive Officer Barry Wallerstein. “By decreasing the time that trucks are idling and stuck in traffic, the OffPeak program has helped to significantly improve air quality.”

The mayors of Los Angeles and Long Beach hailed the OffPeak program’s achievements on its 10th anniversary.

“The OffPeak program has facilitated the continued growth of the Port of Long Beach,” said Long Beach Mayor Robert Garcia, “while lowering the adverse environmental impacts of their operations.”

“For the last decade, PierPass has instituted innovative and creative problem solving for the goods movement industry in Southern California,” said Los Angeles Mayor Eric Garcetti. “Their program has helped to bring jobs to America’s #1 port, while helping us reduce our environmental footprint in the Harbor area.”

Congressman Alan Lowenthal, who introduced legislation to address truck congestion at the ports when he was an Assemblyman in the California Legislature, said, “Given the success of OffPeak, many don’t remember how bad it was at the ports in the years before the program’s creation. The OffPeak program really helped reduce the stress on port-adjacent communities and traffic on key freeways.”

Using a congestion pricing model, PierPass charges a Traffic Mitigation Fee (TMF) on weekday daytime cargo moves to incentivize cargo owners to use the OffPeak shifts. The TMF also helps pay for the cost of operating the OffPeak shifts, which upon introduction in 2005 roughly doubled the labor cost to handle the same amount of cargo. Container volume rose only 6% between 2005 and 2014.

On an average OffPeak weeknight, 13,500 trucks visit the marine container terminals at the Los Angeles and Long Beach ports. If all of these trucks were lined up bumper-to-bumper, they would form a line 145 miles long, stretching halfway to Las Vegas. Without the OffPeak program, this cargo would be crammed into a single day shift, doubling daytime volumes and once again causing severe congestion.

“We are proud of what we have accomplished with the OffPeak program, but we aren’t resting on our accomplishments,” said PierPass President John Cushing. “PierPass and the terminals are constantly working with our partners at the ports and others in the supply chain to improve the velocity of freight and reduce the environmental impact of port operations.”

About PierPass
PierPass is a not-for-profit company created by marine terminal operators at the Ports of Los Angeles and Long Beach in 2005 to address multi-terminal issues such as congestion, air quality and security. To learn what it takes for a truck to drop off or pick up a container at a marine terminal, see http://youtu.be/P9IJN1yIIJ4. For additional information, please see www.pierpass.org.

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PierPass Customer Service Numbers:
877-863-3310 (from inside the United States)
1-973-355-3575 (from outside the United States)

PierPass July News and Updates

PierPass Monthly Transaction Data
Each month we provide a summary of the latest transaction data from marine terminal operators (MTOs) at the Port of Los Angeles and Port of Long Beach. Below please find data from the month of June 2015.

Average in-terminal turn time:
49.5 minutes day shift
48.6 minutes night shift

For comparison, the average in-terminal turn time in May 2015 was 49.0 minutes for the day shift and 49.9 minutes for the night shift.

In-terminal turn time is the average amount of time a truck is inside a terminal to complete a transaction. Truck activity information is derived from RFID data, and excludes lunch hour, breaks and trouble tickets. Turn time at individual terminals will vary depending on time of day and other factors. For more information about turn times and how we measure them, please see our Q&A at http://goo.gl/PiOjBp.

Average daily moves per truck for frequent callers* in June:
5 or moves per day: 8%
4 moves per day: 14%
3 moves per day: 29%
2 moves per day: 32%
1 move per day: 17%

*The ports define frequent callers as trucks making one or more moves per weekday. Average moves per day by frequent callers tells us how many moves a truck can make if it is working every day. In June, 22% of frequent callers made four or more moves per day.

Gate moves during Peak and OffPeak/exempt shifts in June:
Total Peak gate moves: 363,204 (54%)
Total OffPeak/Exempt gate moves: 303,833 (46%)

A gate move occurs when a container enters or leaves a marine terminal via the truck gates. Peak shifts are Monday through Friday, 8:00 a.m. to 5:00 p.m. OffPeak shifts are Monday through Friday, 6:00 p.m. to 3:00 a.m., and Saturday 8:00 a.m. to 5:00 p.m. Saturday night and Sunday shifts, which are not regularly scheduled, are considered “exempt.”

Note:
Terminals were closed for the second shift one night in June for an ILWU Stop Work meeting.

To learn what it takes for a truck to drop off or pick up a container at a marine terminal, please see http://youtu.be/P9IJN1yIIJ4.

Terminal Operators at the Ports of Los Angeles and Long Beach to Adjust PierPass TMF on August 1

LONG BEACH, Calif., June 30, 2015 – The West Coast MTO Agreement (WCMTOA) today announced an increase in the Traffic Mitigation Fee (TMF) at the Ports of Los Angeles and Long Beach, scheduled to take effect on August 1, 2015. The increase will sustain continued operation of PierPass OffPeak gates amid labor cost increases.

Beginning August 1, the TMF will be increased from $66.50 per TEU (twenty-foot equivalent unit) to $69.17 per TEU or $138.34 per forty-foot container.

WCMTOA periodically adjusts the TMF based on changes in maritime labor costs. The announced change reflects increases in labor costs contained in the contract recently agreed to between the Pacific Maritime Association and the International Longshore and Warehouse Union (ILWU). The TMF was last adjusted in August 2013.

The Traffic Mitigation Fee helps pay for the night and Saturday marine terminal shifts created by the PierPass OffPeak program to relieve daytime congestion in and around the ports. It also provides a financial incentive to move cargo during less-congested times. The TMF is charged for non-exempt containers moving during peak hours (Monday through Friday, 3 a.m. to 6 p.m.).

About PierPass

PierPass is a not-for-profit company created by marine terminal operators at the Port of Los Angeles and Port of Long Beach to address multi-terminal issues such as congestion, air quality and security. The West Coast Marine Terminal Operator Agreement (WCMTOA) is filed with the Federal Maritime Commission, and comprises the 13 international MTOs serving the Los Angeles and Long Beach ports. For more information, please see www.pierpass.org.

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Customer Service Advisory: WBCT Will Suspend Saturday OffPeak Gates Starting July 25

Dear PierPass Customers,

Please be informed that West Basin Container Terminal (WBCT) at the Port of Los Angeles will stop operating Saturday OffPeak gates as of July 25, 2015. Current gate schedules for all container terminals at the Ports of Los Angeles and Long Beach are available at http://www.pierpass.org/offpeak-information/.

PierPass June News and Updates

PierPass Monthly Transaction Data
Each month we provide a summary of the latest transaction data from marine terminal operators (MTOs) at the Port of Los Angeles and Port of Long Beach. Below please find data from the month of May 2015.

Average in-terminal turn time:
49.0 minutes day shift
49.9 minutes night shift

For comparison, the average in-terminal turn time in April 2015 was 44.6 minutes for the day shift and 49.5 minutes for the night shift.

In-terminal turn time is the average amount of time a truck is inside a terminal to complete a transaction. Truck activity information is derived from RFID data, and excludes lunch hour, breaks and trouble tickets. Turn time at individual terminals will vary depending on time of day and other factors. For more information about turn times and how we measure them, please see our Q&A at http://goo.gl/PiOjBp.

Average daily moves per truck for frequent callers* in May:
5 or moves per day: 8%
4 moves per day: 14%
3 moves per day: 29%
2 moves per day: 32%
1 move per day: 17%

*The ports define frequent callers as trucks making one or more moves per weekday. Average moves per day by frequent callers tells us how many moves a truck can make if it is working every day. In May, 22% of frequent callers made four or more moves per day.

Gate moves during Peak and OffPeak/exempt shifts:
Total Peak gate moves: 350,226 (56%)
Total OffPeak/Exempt gate moves: 279,785 (44%)

A gate move occurs when a container enters or leaves a marine terminal via the truck gates. Peak shifts are Monday through Friday, 8:00 a.m. to 5:00 p.m. OffPeak shifts are Monday through Friday, 6:00 p.m. to 3:00 a.m., and Saturday 8:00 a.m. to 5:00 p.m. Saturday night and Sunday shifts, which are not regularly scheduled, are considered “exempt.”

Note:
Terminals were closed for Memorial Day and for the second shift one night in May for an ILWU Stop Work meeting.

To learn what it takes for a truck to drop off or pick up a container at a marine terminal, please see http://youtu.be/P9IJN1yIIJ4.